Why Target (TGT) Is Buying Technology From Deliv

Target Corporation (NYSE: TGT) recently announced it is planning to acquire technology from Deliv. These are the details about the deal.

Target Corporation (NYSE: TGT) recently announced it is planning to acquire technology from Deliv, which is a company that focuses on last-mile batched delivery.

“As more and more guests are getting what they need through online orders, the proprietary last-mile platform we’re buying from Deliv will help us explore new ways to deliver packages even quicker while lowering our shipping costs. And it’ll continue to put our stores at the center of our strategy to fulfill digital orders,” said Target in a statement.

This new technology is expected to open up new possibilities for Target. And some members of the Deliv team, including Deliv CEO and founder Daphne Carmeli will have the opportunity to join Target as the company researches and develops how the technology will be used in the future.

“Our game-changing fulfillment services—like Order Pickup, Drive Up and Shipt—have already made same-day delivery and pickup possible for millions of guests,” explained Arthur L Valdez, Jr., Target’s executive vice president and chief supply chain & logistics officer. “This technology from Deliv is just one more example of how Target is investing for the future of local delivery.”

Deliv had offered same-day delivery for Best Buy, Macy’s, and Walgreens prior to the acquisition. And before Target acquired Deliv, Carmeli wrote in a letter to the staff that the company would be winding down operations “due to a confluence of events over the past few months.”

Deliv had raised over $80 million in venture capital since the company was founded in 2012.Some of the company’s investors included General Catalyst, Redpoint Ventures, Google, and UPS.